Tomas Syquia, head of the SEC’s Compliance and Enforcement Department, clarified earlier statements regarding Everflow, by saying a CDO has already been issued against the Everflow Group since Jan. 15 this year.
The Everflow Group is said to be a conduit of the Multinational Telecom Investors Corp. (Multitel) which had been permanently enjoined by the SEC from further soliciting investments from the public.
Other companies said to be used by Multitel in soliciting investments from the public and which are covered by the CDO issued by the SEC are Partners in Progress Holdings Inc., Sage Management Corp., CUP Multi-Purpose Cooperative Inc., Multilink Multi-Purpose Cooperative Inc., Oceanic Employees, Bethel Multi-Purpose Cooperative, Goodwill Development Cooperative, and Hangdog sa Pag-unlad Multi-Purpose Cooperative.
The CDO against Everflow and Multitel had already been made permanent. This means that these companies should no longer be operating and seeking investments from the public.
The Everflow Group earlier denied selling shares of stocks at 10-percent to 15-percent interest.
Everflow director and Merchant Marine Capt. Felix C. Aquino said the company, believing that Multitel is a legitimate business entity, acted as its financial consultant for a very limited period.
Aquino said that upon issuance of the CDO, the Everflow Group immediately asked Multitel to explain why the latter was being ordered to stop operating. Multitel, he said, was unable to explain the reasons.
Based on initial reports, the Everflow Group has been promising investors monthly interest of 10 to 15 percent for a minimum placement of P50,000 for a period of three to six months plus the return of their investment at the end of the holding period. – Zinnia dela Peña